Replies to post #5723 on Baristas Coffee Company, Inc. (BCCI)

[Johnny4profits]

The economy is currently reportedly in a recovery mode. Many indicators back this up. Those employed will start feeling more relaxed as new employees are being added to their ranks. Coffee sales will go up. If Starbucks and McDonalds are reporting an increase in sales, it is reasonable to feel that the coffee stands are doing better.

You can worry about milk, sugar, gas, coffee bean prices and on and on and on and not a customer one will hardly concern themselves with a nickle or dime here or there, particularly if they like the product and service of a business. The price is what it is! If your worried that much about a dime you are not going to buy coffee before filling your thermos at home.

The coffee stand clientele are a loyal bunch as they don't like surprises when they are getting their pump up for the day. They will buy their coffee before they buy bread and right after they buy cigarettes. Kind of like that anyhow.

Baristas gives them live entertainment on top of all the pressures they are feeling. Doesn't get any better than that.........



NOTE: IMO of course. Do your own duh duh ("DD") as you most certainly will be paying your own way.

[rs99]

Well i guess they will have to make adjustments just like McDonalds and Star Bucks are having to do by raising prices a little. McDonalds said today that they were going to have to raise prices and there stock went higher. No this isn't McDonalds but the point being, everybody is having to do it. It just becomes, pass the buck. That being said, don't think it will matter that much as long as they all do it.. IMO

ps. You aren't related to Almond are you? LoL...Just Kidding..Please don't take that personal...

[Johnny4profits]

The price of milk.......................

Looks like Starbucks came through with a 44% increase in earnings. This suggests to me that customers are out there and that they have money to spend on coffee and associated goodies. And you know what? Lots of folks just don't particularly care for Starbucks...........

I see cars lined up at every coffee hut under every cedar tree in the country, out in the woods, on the main street of town, and can not imagine all the customers in the area of Baristas just driving by without a thought to buy.

The profit margin is high enough that I wouldn't be worrying about the price of milk or gas or anything else at the moment. This does not mean that some runaway costs can not hurt the industry. I just don't see such a negative for this year or in the near future.

I see a pop on BCCI this next week. This looks like good buy time to me.



NOTE: IMO of course. Do your own thinking and assume responsibility for your own decisions. And GL

.

[stockchick]

I would chime in to say that if the cost of goods goes up given a stable price for the product, then the margins would decline. Of course as they buy in larger bulk they go down but still not as much as with cheaper bas prices.

[ssrotle]

They will do better than Mom and Pops but not as well as the two you mentioed because of purchasing power.